Mining profitability depends on multiple factors including your hashrate, electricity costs, hardware efficiency, and the current ETC price. Understanding these variables helps you make informed decisions about your mining operation.
Key Profitability Factors
1. Hashrate
Your hashrate determines how much of the network's mining power you contribute. Higher hashrate means more chances to find blocks and earn rewards.
- Measured in: MH/s (megahashes) or GH/s (gigahashes)
- Higher is better: More hashes = more potential rewards
- Network share: Your percentage of total network hashrate
2. Electricity Cost
Power cost is typically the largest ongoing expense for miners. Even profitable hardware becomes unprofitable with expensive electricity.
- Calculate carefully: Include all fees and taxes
- Time-of-use rates: Some areas offer cheaper off-peak electricity
- Threshold: Most operations need rates below $0.10/kWh to profit
3. Hardware Efficiency
Efficiency measures hashrate per watt of power consumed. More efficient hardware generates more hashes per dollar of electricity.
- Measured in: MH/s per watt (MH/W)
- Modern GPUs: Typically 0.3-0.5 MH/W
- ASICs: Can exceed 1+ MH/W for ETCHash
4. Network Difficulty
Difficulty adjusts to maintain consistent block times as network hashrate changes. Higher difficulty means fewer blocks found per unit of hashrate.
- Dynamic: Adjusts based on total network hashrate
- Impact: Rising difficulty reduces individual mining rewards
- Check regularly: Monitor network stats for trends
5. ETC Price
The market price of ETC determines the fiat value of your mining rewards. Price volatility significantly impacts profitability calculations.
Calculating Profitability
Basic daily profit formula:
- Calculate daily ETC earned based on your hashrate share
- Multiply by current ETC price for gross revenue
- Calculate daily electricity cost (watts × hours × rate)
- Subtract electricity cost from gross revenue
- Account for pool fees if applicable (typically 0.5-2%)
Example Calculation
For a 180 MH/s GPU (typical single card):
- Power consumption: 390W
- Electricity rate: $0.10/kWh
- Daily power cost: 0.39kW × 24h × $0.10 = $0.94
- Estimated daily ETC: ~0.0125 ETC
- At current prices: Revenue ≈ $0.16/day
- Daily profit/loss: approximately -$0.77 (loss)
Note: This example uses approximate current network values. Always use a live calculator like WhatToMine for accurate estimates based on real-time difficulty and prices.
Current Network Statistics
Key metrics that affect profitability (these change constantly):
- Block Reward: ~2 ETC (decreases 20% every 5 million blocks)
- Block Time: ~13.5 seconds average
- Network Hashrate: ~185 TH/s (fluctuates with miner activity)
- Algorithm: ETCHash (memory-intensive)
Check live stats at WhatToMine or MiningPoolStats for current values.
Profitability Tools
Online calculators help estimate earnings. Enter your hashrate, power consumption, and electricity cost:
- WhatToMine ETC Calculator: Most comprehensive tool for comparing profitability across coins
- MiningPoolStats: Network hashrate and pool distribution data
- Pool dashboards: F2Pool, 2Miners, and others show estimated earnings
Remember that calculators provide estimates based on current conditions. Actual results vary with network difficulty changes, price fluctuations, and luck.
Improving Profitability
Reduce Electricity Costs
- Shop for competitive electricity rates
- Consider time-of-use plans with off-peak rates
- Explore renewable energy options
- Use mining heat for practical purposes (heating spaces)
Optimize Hardware
- Tune GPU settings for better efficiency
- Undervolt to reduce power without losing hashrate
- Maintain proper cooling to prevent throttling
- Keep firmware and mining software updated
Choose the Right Pool
- Compare pool fees (0.5% vs 2% adds up)
- Select servers with low latency
- Evaluate payout schemes for your situation
Break-Even Analysis
Before investing in mining hardware, calculate your break-even point:
- Total hardware cost (GPUs, motherboard, power supply, etc.)
- Estimated monthly profit after electricity
- Months to break even = Hardware cost ÷ Monthly profit
Consider that hardware depreciates and network difficulty typically increases over time, extending break-even timelines.
Risk Factors
- Price volatility: ETC price can change dramatically
- Difficulty increases: More miners joining reduces individual rewards
- Hardware failure: Components may fail, causing downtime
- Electricity rate changes: Utility prices may increase
- Technology changes: More efficient hardware may make yours obsolete
When Mining Makes Sense
Mining ETC can be viable when:
- You have access to very cheap electricity (under $0.05/kWh)
- You already own suitable hardware
- You can use the heat output productively
- You're accumulating ETC as a long-term investment
- You want to support network decentralization regardless of profit
Tax Considerations
Mining income is typically taxable. Keep records of:
- ETC received and its fair market value at receipt
- Hardware purchases for potential deductions
- Electricity costs attributable to mining
- Pool fees and other operational expenses
Consult a tax professional familiar with cryptocurrency in your jurisdiction.
Summary
Mining profitability requires careful analysis of your specific situation. Use current data, realistic efficiency numbers, and accurate electricity costs. Remember that market conditions change—what's unprofitable today may become profitable (or vice versa) as prices and difficulty shift.